Lurking around the vast inter-web this week I happened upon a little image quoting Elizabeth Warren taken from the campaign trail. I dub it “A Nice Sounding Excuse to Raise Taxes” I mean who couldn’t agree? After all it sounds so nice. However, I decided it was so blatantly absurd I had to vent a little about what I thought was wrong with statement. Here is a little commentary on what probably should have been said.
On to the beginning:
“There is nobody in this country who got rich on his own. Nobody. You built a factory out there – good for you.” -Elizabeth Warren
Depending on the definition of “own” one might argue there are plenty of people who have indeed gotten rich on their own. A few poker players come to mind, celebrities, stock brokers, and more than one poor kid who worked hard rising up to be one of the most powerful people in the country.
Alright so we got off to a bad start. Nothing like some quick condescension to fix that, followed by a terrible excuse to take more money from those fortunate enough to have become rich (some due to their own accord like Oprah and some not so much like John and Teresa Kerry).
Let’s take a look:
“But I want to be clear. You moved your goods to market on the roads the rest of us paid for. You hired workers the rest of us paid to educate. You were safe in your factory because of police forces and fire forces that the rest of us paid for. You didn’t have to worry that marauding bands would come and seize everything at your factory…” -Elizabeth Warren
Now let me be clear, but not in a condescending fashion. The following is probably a little less false.
“You moved your goods to market on roads funded by the taxes you paid both personal and business. Each gallon of fuel you purchased helped pay for those roads across each state of transport through IFTA. Not to mention extra taxes in certain states that also taxed the weight of your goods. You hired workers, creating jobs in your community and around the country where your products are sold. Although some of those created were meant as entry level and not career based jobs.
You sent you kids to a private school because of public school shenanigans like this. However you still paid taxes to support the educations of many future employees because powerful teacher unions didn’t want you to have a choice in how your kids were educated. When you started out, you had to rent a building in the bad part of town because funds were limited.
Early on after an employee’s car was stolen and their house was robbed using the garage door opener. You beefed up security by hiring a private security company to help keep your employees and your business safe. But you still paid your taxes to help fund the local police department which you have had to call out a few times. You never worried about marauding bands seizing your factory because smarter people than yourself who cared more about liberty than they did their own power ensured that the United States government couldn’t just come in and seize your business if you’ve done nothing wrong.”
Onto the finale, you own us. Us being the government, then they will pass your money onto those who need it. After all, the government knows best.
“Now look. You built a factory and it turned into something terrific or a great idea – God bless! Keep a big hunk of it. But part of the underlying social contract is you take a hunk of that and pay forward for the next kid who comes along.” -Elizabeth Warren
Maybe this is what she really should have said.
“Now look. You cashed out your life savings, used your meager home as collateral, and borrowed hundreds of thousands of dollars on a hunch which could have destroyed your life if it didn’t work out. You worked 80 to 100 hour weeks for the first 10 years and still work 60 hour weeks most of the year. You have worked with the community to make the neighborhood in which your business resides better.
You have provided high school students with entry level jobs to earn money for college. You have provided hundreds of decent paying jobs for those in your community. You provide quality goods that make people’s lives easier. You lived on a meager salary the first decade and have worked your way up to pulling in more than the magic mark that makes you rich; $250,000 a year.
You have made sacrifices and paid your fair share in taxes and sweat. What is wrong with a little reward? Instead some would paint you as an evil ‘richer’ and demand that after all your hard work you somehow owe even more under some mythical social contract. You didn’t grow up rich and now you’re demonized for having more than most. You already pay it forward with community service, charitable donations from your business and yourself, jobs for your community, and the inspiration you give those who are where you once started.”
Just what qualifies as a ‘big hunk’ anyway? Why do people like Elizabeth Warren never give us a number? Probably because the number always turns out to be never enough for them.
Now what about this example: an income of $400,000 a year with company dividends (250k). 15 to 20 percent of that is paid in income tax; let’s say an average of 20% or $80,000 is paid. You live in CA and the state takes another 9%, roughly $29,000 more. Don’t forget about FICA. That’s about another $8700 in taxes bringing your income down to $282,300. Why is taking 30% off the top of anyone’s income not a big enough hunk? That doesn’t include all of the other taxes accessed against the individual. Taxes like property, sales, and excise. As far as paying it forward the above doesn’t include charitable donations. After all, not everyone is as stingy as Joe Biden.
Alright I will admit that $282,000 is still a pretty good sum of money and maybe the intent was to steal more from millionaires through higher taxation. But after a few more years the hard working person from this example will be a millionaire as well. But that’s not the point. Some of you may like my above example and some may not. But my rewrite is no more ridiculous than the original statement. What amazes me is for all this talk of fairness from the left and progressives. In the end it seems they have no interest in actual fairness, or they would drop this class warfare social agenda and work for real and fair tax reform. Freedom gives us all an equal opportunity to improve our lives but it doesn’t guarantee an equal amount of dollars will be dropped in each of our laps. I say it is time to redo the income tax code in the interest of fairness. But that discussion is for another day. The last word – Elizabeth Warren is just the same ol’ typical tax and spend liberal.
This post was submitted by American_Innovation.